PROJECT REPORT

Submitted for the Degree of B.Com. (Hons.) in RATIO ANALYSIS under the Calcutta
University

TITLE OF THE PROJECT

RATIO ANALYSIS
 Submitted by:-

Name of the candidate : Priti Pandey

Name of the college : Surendranath Evening College

College Roll No. : 08

College Section :A

CU Registration No. :117-1211-0406-20

CU Roll No. : 201117-11-0040

Supervised by :-

Name of the Superviser : Dr. Amit Das

Name of the College : Surendranath Evening College

 SUPERVISORS LETTER

This is to certify that Priti Pandey a student of B.COM (Hons.)

in Accounting & Finance of SURENDRANATH EVENING
COLLEGE under the University of Calcutta has worked under my
supervision and guidance for his project work and prepared a project
report with the title RATIO ANALYSIS on The TATA
STEEL. Which she is submitting , in the genuine and original work to
the best of my knowledge.

Signature

Place : Name : Dr Amit Das

Date : Desgination : Assistant Professor

College : Surendranath Evening College

 STUDENT DECLARATION

I hereby declare that the Project Work RATIO ANALYSIS on The TATA STEEL
submitted by me for the partial fulfilment of the degree of B.Com (Hons.) in
Accounting & Finance under the university of Calcutta, is my original work and has
not been submitted earlier to any other University/Institution for the fulfilment of
the requirement for any course of study.
I also declare that no chapter of this manuscript in whole or in part has
been incorporated in thus report from any earlier work done by others or by me.
However, extract of any literature which has been used for this report has been
duly acknowledged providing details of such literature in the references.

Signature

Place : Kolkata Name : Priti Pandey

Date : College Name : Surendranath Evening College

 ACKNOWLEDGEMENT

I have taken efforts in this project. However, it would not have been possible without the

kind support and help of many individuals. I would like to extend my sincere thanks to all of

them

I am highly indebted to Prof. AMIT DAS for his guidance and constant supervision as well

as for providing necessary information regarding the project & also for his support

in completing the project . I am grateful to all the authors and experts whose work and

articles have been referred in many places . I would like to express my gratitude towards

my parents and friends for their kind co-operation and encouragement which help me in

completion of this project.

Lastly , I thank the Almighty for helping me through the implementation of this project .
 PREFACE

As a part of my syllabus of B.Com (Hons.) 6th semester, we have assigned some

practical and theoretical project work. In partial fulfilment of the course I have

prepared a comprehensive project on Ratio Analysis.

This report contains the analysis of the 5 years data of the company. The Analysis of

the report are analysed by the way of Ratio Analysis.

 TABLES OF CONTENTS

CHAPTER NO. CONTENTS PAGE NO:

LIST OF TABLES

LIST OF FIGURES

CHAPTER 1 INTRODUCTION 1–3

CHAPTER 2 REVIEW OF LITERATURE 4 – 11

CHAPTER 3 INDUSTRY PROFILE 12 – 17

DATA ANALYSIS AND

CHAPTER 4 18 – 31
INTERPRETATION

FINDINGS, SUGGESTIONS
CHAPTER 5 32 – 33
& CONCLUSION

BIBLIOGRAPHY

ANNEXURE
 LIST OF TABLES

TABLE
TITLE PAGE NO:
NO:

4.1 Table showing current ratio 19

4.2 Table showing quick ratio 20

4.3 Table showing super quick ratio 21

4.4 Table showing debt equity ratio 22

4.5 Table showing proprietary ratio 23

4.6 Table showing solvency ratio 24

4.7 Table showing stock turnover ratio 25

4.8 Table showing working capital turnover ratio 26

4.9 Table showing fixed asset turnover ratio 27

4.10 Table showing operating profit ratio 28

4.11 Table showing net profit ratio 29

4.12 Table showing return on investment 30

4.13 Table showing return on shareholders fund 31

 LIST OF CHARTS

FIGURE
TITLE PAGE NO:
NO:

4.1 Chart showing current ratio 19

4.2 Chart showing quick ratio 20

4.3 Chart showing super quick ratio 21

4.4 Chart showing debt equity ratio 22

4.5 Chart showing proprietary ratio 23

4.6 Chart showing leverage ratio 24

4.7 Chart showing stock turnover ratio 25

4.8 Chart showing working capital turnover ratio 26

4.9 Chart showing fixed asset turnover ratio 27

4.10 Chart showing operating profit ratio 28

4.11 Chart showing net profit ratio 29

4.12 Chart showing return on investment 30

4.13 Chart showing return on shareholder's fund 31

 CHAPTER I

INTRODUCTION
1.1 Introduction
There are so many industries contribute to economic development of nation.
The steel industry is often considered an indicator of economic progress,
because of the critical role played by steel in infrastructural and overall
economic development. The level of per capital consumption of steel is an
important determinant of socio-economic development of country.

In India being a core sector, industry tracks overall economic growth in long
term. India is the fourth largest producer of steel in the world. Indian steel
sector enjoys advantage of domestic availability of raw materials and cheap
workers. Tata steel is among the top steel producing company in the world
having subsidiary and joint venture throughout the world.

This research paper aims at analyzing the financial performance of Tata steel
ltd using the frame work of ratio analysis. The basic objective of the paper is
evaluates and judge the performance of Tata steel during the research period.
To determine the firms efficiency the analyst attempt to measure the firm’s
solvency, liquidity, profitability and other indicators in rational and normal
way.

1.2 Statement of problem

Analyzing financial performance is the process of evaluating the common parts
of financial statements to obtain a better understanding of firm’s position and
performance. Financial performance analysis helps to evaluate past and current
performance and financial position, and to predict future performance.

The problem identified for the study is to find out the financial analysis of the
TATA STEEL LTD by analyzing liquidity, solvency, activity, and profitability
position.
1.3 Significance of study
The study was carried at Tata steel ltd to analyses the financial performance of
past five years. This study aims to measures the company’s liquidity,
profitability, solvency and efficiency so that the business can be carried out
smoothly ensuring, success, growth and improvement of the company.

1.4 Objectives of study

 To know profitability of the company.
 To assess liquidity position of the company.
 To assess solvency and debt equity position of the firm.

1.5 Research design

1.5.1 Nature of study

The study is analytical in nature.

1.5.2 Nature of data

The study use secondary data for the analysis.

1.5.3 Source of data

Secondary data is gathered from annual reports and balance sheet published by
the official website of the company.

1.5.4 Period of study

Period of study is the last 5 years from 2015-16 to 2019-2020

2
1.6 Tools for analysis

 Ratio analysis
 Graph
 Chart

1.7 Limitations of study

 The study has been carried out for a period of 5 year only.

 Error in financial statement will reflected in the analysis.

1.8 Chapterization

Chapter 1: This chapter covers introduction of study, statement of problem,

scope of study, research design, tools of analysis etc.

Chapter 2: This includes conceptual review and empirical literature

Chapter 3: This includes industry profile and company profile

Chapter 4: This includes data analysis and interpretation

Chapter 5: This includes findings, suggestions and conclusion

3
 CHAPTER II

REVIEW OF LITERATURE
2.1 Conceptual Review

Company’s annual report is a comprehensive report or company’s activity

throughout the preceding year. Annual reports are intended to give
shareholders and other interested parties information about company’s activity
and financial performance. They may be considered as grey literature. Grey
literature means manifold document type produced on all level of government,
academics, business and industry in print and electronic formats that are
protected my intellectual property rights of sufficient quality to be collect and
preserved by library holdings or institutional repositories. Most jurisdictions
requires companies to prepare and disclose annual reports and many require the
annual report to be filled at the company’s listed in the stock exchange are also
required to report at more frequent intervals.
Accounting ratio or analysis is an important technique of analysis of financial
performance. It is most widely used technique of financial performance. Ratio
is first to developed to analysis and interprets financial statement.

2.1.1 Liquidity Ratio

The term liquidity refers to firm’s ability to pay its current liability out of its
current asset. Liquidity ratios are used to measure the liquidity position or short
term financial position of firm. These ratios are used to assess the short term
debt paying ability of firm. Important liquidity ratios are current ratios, quick
ratios and super quick ratio.
a) Current Ratio
Current ratio is one of the oldest of all financial ratios. It was first used in 1891.
Current ratio is defined as the ratio of current asset to current liabilities. It
shows the relationship between total current asset and total current liabilities.
Current ratio is also called working capital ratio or banker’s ratio. Generally a
current ratio of 2:1 is considered satisfactory or ideal. It is calculated as follows
Current ratio =

4
b) Quick ratio
Quick ratio is the ratio of liquidity asset to current liability. It is the measure of
instant ability of the business enterprise. It is also called acid test ratio. It is
called so because the ratio is calculated to eliminate all possible liquid elements
from current asset. Ratio 1:1 is considered ideal. It is computed as follows

Quick Ratio =

c) Super quick Ratio

It is the ratio which shows the relationship between the absolute liquid asset
and current liability. It is also called absolute liquid ratio. Absolute liquid asset
take into account cash in hand, cash at bank and marketable securities. The
most favorable and optimum value at this ratio should be 0.5:1. It is calculated
as follows

Super quick ratio =

2.1.2 Solvency ratio

Solvency refers to the ability of a firm to pay its outside liabilities both short
term and long term. Solvency ratios are used to analyze long term financial
position of business. In other words these ratios are used to analyze the capital
structure of firm. Important solvency ratios are debt equity ratio, proprietary
ratio, leverage ratio etc.
a) Debt Equity Ratio
Debt equity ratio is most commonly used ratio to test solvency of a firm. This
ratio indicates the relative proportion of debt and equity in financing the asset
of the firm. In shot it expresses the relationship between the external equity and
internal equity of company. Sometimes it’s referred as security ratio. The
formulae used is

Debt Equity Ratio =

b) Proprietary ratio
Proprietary ratio establishes the relationship between shareholders fund and
total asset. The ratio shows how much funds have been contributed by

5
shareholders in total asset by firm. It is also called net worth ratio. Generally
0.5:1 is considered as ideal.

Proprietary Ratio =

c) Leverage Ratio
The ratio expresses the relationship between total asset and liability of a
company. It measures the solvency of business. This ratio is also called
solvency ratio, ratio of total asset to total debt. Higher solvency ratio indicates
financial position of a business is strong. A lower solvency ratio indicates
financial position of business is weak. The following formula is used to
compute solvency ratio
Leverage ratio =

2.1.3 Activity ratio

Activity ratios show how effectively a firm uses its available resources or
assets. This ratio indicates efficiency in asset management. In other words, this
ratio indicates the speed with which the business resources are turned over or
converted into cash. Higher turnover ratio means better use of resources and
lower turnover ratios means worst use of resources. Important turnover ratios
are inventory turnover ratio, working capital turnover ratio and fixed asset
turnover ratio.
a) Inventory turnover ratio

This ratio show the relationship between costs of goods sold and average
inventory or stock. It is also called merchandise turnover ratio. It is obtained by
dividing cost of goods sold by average stock of company. It indicates number
of times stock is turn over or converted in to cash. Generally ratio of 8 times is
considered as satisfactory. Stock turnover ratio is computed by the following
formula

Stock turnover ratio =

6
b) Working capital turnover ratio

Working capital offer to the ratio with current asset will change with the
change in sales of a company. This means working capital is related with the
sales. The relationship between sales and working capital is called working
capital turnover ratio. This ratio shows how many times working capital is
rotated to generate sales. Standard working capital turnover ratio is 7 or 8
times. It is calculated as follows

Working capital turnover ratio =

c) Fixed asset turnover ratio

Fixed asset explains the purchase of fixed asset for the business. Without fixed
asset it cannot make sale and profit. These sales depend on how fixed assets are
utilized in the business for knowing whether fixed assets are efficiently utilized
or not fixed asset turnover is used. Fixed asset turnover establishes the
relationship between net sales and fixed asset ratio. Higher the ratio indicates
better utilization and lower ratio indicates lower utilization of fixed assets. It is
computed as follows

Fixed asset turnover ratio =

2.1.4 Profitability ratio

The ultimate aim of a business enterprise is to earn profit. Profit is the engine
that drives a business enterprise or a company. Firm should earn profit to
survive and grow for a long period of time. To the management profit is
measure of efficiency and control of business. Profitability refers to ability of a
firm’s income. Profitability can be easily measured by profitability ratio. The
important profitability ratios are gross profit ratio, net profit ratio, operating
profit ratio, return on investment and return on shareholders fund.

7
a) Gross profit ratio

It is most common type of profitability ratio based on sales. Basic component of

gross profit ratio are gross profit and net sales. The main objectives of gross
profit ratio are to measure the efficiency with which a firm produces its product.
The ideal or standard form of gross profit ratio is 20% to 25%. It is calculated as
follows

Gross profit ratio =

b) Operating profit ratio

Operating profit explains the relationship between operating profit and net sales.
Operating profit means profit from normal business operations. It is the profit
before adjusting non-operating expenses and non-operating income. It measures
the operational efficiency of a company. Operating profit can be ascertained as
follows

Operating profit ratio =

c) Net profit ratio

Net profit ratio is ratio of net profit earned by the business and its net sales. It
measures overall profitability. Net profit ratio indicates the efficiency as well as
the profitability of the business. It determines the return to the owner of the
business. The ratio indicates how much of sales are left after meeting all
expenses of the business. Ideal form of net profit ratio is 5% to 10%. It is
calculated as follows

Net profit ratio =

d) Return on investment

It is a profitability ratio based on investment. When a firm invests money in the

business, it naturally expects return from the investment. Therefore the firm
wants to know how much profit is earned from its investment. It establishes the
relationship between profit or return and investment. It is also called accounting

8
ratio of return. The standard return on investment ratio is 15%. It is calculated
as follows

ROI =

e) Return on shareholders fund

It is ratio of net profit to shareholders fund or net worth. It measures the

profitability from shareholders point of view. It is profitability ratio based on
investment. This ratio is also called the mother of all ratios. This ratio is perhaps
most important ratio because it measures the return that is earned towards the
owner’s capital. It is computed as below

Return on shareholders fund =

2.2 Empirical Literatures

Sneha Lata & Dr. Robin Anand (2017) they conducted financial performance
of Mahindra & Mahindra Ltd before merger and after merger with the Korean
company from the year 2007-2017. They used tools such as ratio analysis,
arithmetic mean, standard deviation and t-test. Company’s profit margin has
been pulled back after merging that from 18% it went down to 13%.The merger
made for increasing profit has declined the value of business of Mahindra &
Mahindra Ltd and the reason they are stating are that sometimes other merger
took place in the recent years may be the reason for decline.

Dr. A Ramya &Dr. S Kavitha (2017) they studied financial performance of

Maruti Suzuki Ltd from 2010-2015. Profitability ratio activity ratio are used for
the study. They found that gross profit ratio, current ratio, asset turnover ratio,
net profit turnover ratio all declined when we reach 2014-2015. They also
come to conclusion that the calculation in the financial statement are prepared
by desired management and policies that it cannot produce complete picture
about its performance.

9
Imran Khan (2016) Here he studies analyze the financial performance of
Britannia from 2011-2012 to 2015-2016 and has used ratio analysis as the tool
for the same. Through his study he found that sales, operating profit margin,
net profit margin are in a increasing trend and debt equity ratio and return on
assets how decrease. He also put up some suggestions like current asset should
be increased, debt capital should be increased.

Anupa Jayawardhana (2016) she studied on financial performance of Adidas

from the year 2010-2014. She uses tools like horizontal analysis, trend analysis,
vertical analysis financial ratio and key ratio. He come to conclusion that they
should reduce their operating expenses and capital should be invested in
productive asset.

Dr. M Ravichandran& M Venkat Subramanian (2016) studied on Force

Motors formerly known as Bajaj Tempo from 2010-2015. They used ratio
analysis, comparative financial statement analysis. The company’s financial
performance is good that it shows an increase in reserve and surplus and
decrease in borrowings. They suggest that it can further improve by
concentrates on its operating, administrative and selling expenses and by
reducing the expenses.

Krishnaveni M & Vidhya R(2015) They has selected 87 companies out of

242 companies in capital line database to discuss the standard current ratio of
automobile industry is matched with factor and four stages like engine parts,
lamps, gears, and accessories with standard norm. their study concludes that
current and liquidity ratio of automobile industry is matched with factor and
four sectors but other sectors have to improve the repaying capacity to
strengthen the financial aspects.

Anu B (2015) made an attempt to examine the relationship between capital

structure indicators, market price per share and also to test the relationship
between debt equity and market price per share of selected companies. They

10
study concludes that all three companies support the hypothesis that there is
relation between debt, equity and MPS

Suragi Pradeepta Ketal (2014) undertook a study to forecast the future trend
of automobile industry. The study highlighted the 6 different experiments have
been carried out for a period of 12 years data to estimate values for the next 3
years. In each experiment graph has been plotted using spreadsheet and then
linear trend has been drawn and expanded to calculate future values.

AnantLodha (2014) in his project studied on company accounts of the year

2012, 2013. He uses tools like swot analysis, ratio analysis, du-point analysis,
cross sectional analysis and cash flow analysis. And finally he come to a
conclusion that company is depending on owners fund rather than borrowed
fund that its profits are increasing in growing rate and its net income are 4%
higher than its expenses.

Rapheal Nisha (2013) tries to evaluate the financial performance of Indian tire
industries. The study was conducted for a period 2013 to2012 to analyze the
performance with financial indicators, sales trend, export trend production
trend etc. the result suggest the key to success industry is to improve labour
productivity and flexible and capital efficiency

11
 CHAPTER III

INDUSTRY AND
COMPANY PROFILE
3.1 Industry Profile

The iron steel industries are among the most important industries in India.
During 2014 through 2016, India was the third largest producer of raw steel. In
2019 India become the second largest producer in the world after china and the
largest producer of steel and iron in the world. The industry produced 82.68
million tons of total finished steel and 9.7 million tons of raw iron. Most iron
and steel in India is produced from iron ore. Policy of sector is governed by the
Indian ministry of steel, which concerns itself with coordination and planning
the growth and development of the iron and steel industry, both in the public
and private sectors; formulation of policy with respect to production, pricing,
distribution, import and export of iron and steel, Ferro alloys and refractories;
and the development of input industries relating to iron ore, manganese ore,
chrome ore and refractories etc., required mainly by steel industry. Most of
public sector undertaking markets their steel through the steel authority of India
(SAIL). The Indian steel industry was delicensed and de-controlled in 1991 and
1992 respectively.
The Iron and Steel Industry: a global prospective
The iron and steel industry is a very complex sector which is intrinsically
linked with the world economy as a whole. Steel products are needed by many
industries, such as automotive, construction, and other manufacturing sectors.
The steel industry uses significant amounts of raw materials (mainly iron ores,
coal and scrap) and energy, and is also a major source of environmental
releases such as (among others) emissions of dust, heavy metals,
sulphurdioxide, hydrochloric acid, hydrofluoric acid, polycyclic aromatic
hydrocarbons and persistent organic pollutants from sinter plants and coke
ovens; waste water from pelletisation ; dust and waste water from blast and
basic oxygen furnaces; or emissions of filter dust, slag dust, and inorganic and
organic compounds from electric arc furnaces (European Commission. 2011).
Most raw materials are located remote from the areas of highest steel demand,
and so both steel products and inputs are traded internationally and in large

12
quantities. This trade is carried out mostly by sea-going vessels, with raw
materials flowing from coal and ore-rich producing countries in South
America, Africa and Oceania to major producing areas in Europe, North
America, and the Far East, followed by shipments through rail and inland
waterways, and semi-finished and finished steel products moving in the
opposite direction. That has a particular impact on supply and demand patterns,
and consequently on prices.
The steel industry consists of some large firms that operate globally and have a
significant output, and many small firms that operate at a lesser scale. Recently,
some of those firms have consolidated into large multinationals (such as
ArcelorMittal, formed in 2006 by the merger of Arcelor and Mittal Steel,
Arcelor being the result of the previous merger of Aceralia (ES), Usinor (FR),
and Arbed (LX) in 2002, see section 2 for more details on the consolidation of
the steel industries). The industry has been the subject of oligopolistic analyses
since the 50s to date, either concentration index-based (Herfindahl 1950; Lee
2011), or model-based (Warrell, Lundmark 2008). However, despite the recent
consolidation trends towards multinational companies, those analyses focus on
specific countries and regions. The aim of this paper is to provide an overview
of the iron and steel industry, focusing on steelmaking technologies and
international steel markets. The results of this paper will form the basis for
further long- and mid-term analyses of the development of the global steel
industry. To this purpose, section 1 describes how steel is currently produced,
section 2 shows the main characteristics of the steel markets, and section 3
concludes with some recommendations for further research.
History of Indian Steel Industry
The history of the Indian steel industry can be traced back to the year 1874,
when Bengal Iron Works at Kulti near Asansol (West Bengal) started
producing iron. The beginning of modern steel industry can be traced back to
1913, when commercial steel production was commenced by TISCO.
Thereafter, in 1918 IISCO was set up by a British firm, Burn and Co. and till
1937 it produced pig iron only. Subsequently, other prominent steel

13
manufacturers, Mysore Iron and Steel Works in 1923 and Steel Corporation of
Bengal in 1937 came into action. However, World War I, early 20‟s decline in
steel prices and government protectionist measures depressed the Indian iron
and steel industry during British raj.
But in spite of that, Indian iron and steel industry continued its progress at
steady rate. In late 1920‟s, British authorities introduced tariffs system to
protect British and Indian steel, and also raised barriers against import from
other countries. To exclude the indigenous newcomers effectively, British
authorities divided the Indian market in the ratio of 70: 30 between TISCO and
British producers. By 1939, TISCO was producing 75% of the steel consumed
in that time of Indian empire consisting of present day India, Pakistan, Sri
Lanka, Bangladesh and Burma.
In late 1930‟s price hike in iron and steel was recorded due to European
rearmament, as a result Indian pig iron export increased and also Mysore Iron
and Steel Works (set up by the maharaja of Mysore, 1923 to produce pig iron)
and the Steel Corporation of Bengal (a subsidiary established by IISCO, 1937)
emerged to directly compete with TISCO in steel production. But the Steel
Corporation of Bengal was re-absorbed into IISCO in the year 1953. The above
three companies gain profit due to British involvement in World War II. The
annual outcome which was 1 MT in 1939 rose to average of 1.4 MT during
1940-1945.
Growth Prospective of the Indian Steel Industry
On the back of sustained domestic demand, India’s steel industry witnessed
robust growth in the last 10-12 years. Since 2008, production has gone up by
75% while domestic steel demand has grown by around 80%. Steel-making
capacity has also increased in tandem, and the growth has been fairly organic.
The Indian government has always support the steel industry and introduced
the National steel policy in 2017, which envisions the growth trajectory of the
Indian steel till 2030-31. The broad contours of the policy are as follows:
 Steel-making capacity is expected to reach 300 million tonnes per
annum by 2030-31.

14
  Crude steel production is expected to reach 225 million tonnes by 2030-
31, at 85% capacity utilization.
 Production of finished steel to reach 230 million tonnes, assuming a
yield loss of 10% for conversion of crude steel to finished steel – that is ,
a conversion ratio of 90%.
 With 24 million tonnes of net exports, consumption is expected to reach
206 million tonnes by 2030-31.
 As a result, per capita steel consumption is anticipated to rise to 160 kg.
 An additional investment of INR 10 lakh crore is envisaged.
While the National steel policy, 2017, is a vision document of Indian
government, it nevertheless emphasizes the growth potential of the Indian steel
industry.
As per the data from joint plant committee, at the end of 2018-19, indi
produced 110.9 million tonnes of crude steel.
In order to reach 255 million tonnes of crude steel production by 2030-31,
production needs to grow at a CAGR of about 7.2%.
This is easily achievable given that in 2018-19, crude steel production grew by
7.6%. therefore, the growth potential that the government has charted out in the
National steel policy, 2017,is I sync with the industry’s growth trajectory.

3.2 Company profile

Tata Iron and Steel Company was founded by jamshedji Tata and established
by Dorabji Tata, on 26 August 1907, as part of his father’s jamshedji Tata
Group. By 1939 it operated the largest steel plant in the British Empire. The
company launched a major modernization and expansion program in 1951.
Later in 1958, the program was upgraded to 2 million metric tonnes per annum
(MTPA) project by 1970, the company employed around 40,000 people at
Jamshedpur, with a further 20,000 in the neighboring coal mines. In 1971 and
1979, there were unsuccessful attempts to nationalize the company. In 1990, it
started expansion plan and established its subsidiary Tata Inc. in New York.
The company changed its name from TISCO to Tata Steel in 2005.Tata Steel

15
on Thursday, 12 February 2015 announced buying three strip product services
Centre’s in Sweden, Finland and Norway from SSAB to strengthen its offering
in Nordic region. The company, however, did not disclose value of the
transactions
Tata Steel Limited formerly Tata Iron and Steel Company Limited (TISCO) is
an Indian multinational steel-making company headquartered in Mumbai,
Maharashtra, India, and a subsidiary of the Tata Group. It is one of the top steel
producing companies globally with annual crude steel deliveries of 27.5
million tones (in FY17), and the second largest steel company in India
(measured by domestic production) with an annual capacity of 13 million tones
after SAIL. Tata Steel has manufacturing operations in 26 countries, including
Australia, China, India, the Netherlands, Singapore, Thailand and the United
Kingdom, and employs around 80,500 people. Its largest plant located in
Jamshedpur, Jharkhand. In 2007 Tata Steel acquired the UK-based steel maker
Corus. It was ranked 486th in the 2014 Fortune Global 500 ranking of the
world's biggest corporations. It was the seventh most valuable Indian brand of
2013 as per Brand Finance.

Operations
Tata Steel is headquartered in Mumbai, Maharashtra, India and has its
marketing headquarters at the Tata Centre in Kolkata, West Bengal. It has a
presence in around 50 countries with manufacturing operations in 26 countries
including: India, Malaysia, Vietnam, Thailand, UAE, Ivory Coast,
Mozambique, South Africa, Australia, United Kingdom, The Netherlands,
France and Canada.
Tata Steel primarily serves customers in the automotive, construction,
consumer goods, engineering, packaging, lifting and excavating, energy and
power, aerospace, shipbuilding, rail and defense and security sectors.

16
Vision
We aspire to be the global steel industry benchmark for value creation and
corporate citizenship.

Mission
Consistent with the vision and values of the founder Jamshedji’s Tata, Tata
Steel strives to strengthen India’s industrial base through effective utilization of
staff and materials. The means envisaged to achieve this are cutting edge
technology and high productivity, consistent with modern management
practices. Tata Steel recognizes that while honesty and integrity are essential
ingredients of a strong and stable enterprise, profitability provides the main
spark for economic activity. Overall, the company seeks to scale the heights of
excellence in all it does it in an atmosphere free from fear, and thereby
reaffirms its faith in democratic values.

17
 CHAPTER IV

DATA ANALYSIS AND

INTERPRETATION
Data analysis simply means analyzing the entire data collected for the study.
Data collected for the study is financial data. So, analysis is also called
financial analysis. Financial analysis refers to simplification of the financial
data in the financial statements. It is the process of analyzing the information
contained in the financial statement to judge the profitability and financial
soundness of the company. Financial analysis includes both analysis and
interpretation. The term interpretation literally means to explain the meaning
of. In the context of financial analysis, interpretation means explaining the
meaning and of the data. In this study uses ratio analysis for the purpose of
financial data analysis. Ratio analysis is an important technique of analysis of
financial statement. It is the most widely used technique of financial analysis.
Ratio analysis was perhaps the first financial tool developed to analyze and
interpret the financial data analysis. Ratio analysis shows the numerical
relationship between two figures. Tata steel ltd had been selected for the study.
Secondary data is gathered from the website of Tata steel ltd. Required data
had been compiled from the annual report of the company from last 5 years
from 2015-16 to 2019-20. Simple random sampling had been used for selecting
the sample. In this present study analysis had been done using ratio analysis.
Liquidity ratio, solvency ratio, activity ratio, profitability ratio had been
examined for the study. Liquidity ratio includes current ratio, quick ratio and
super quick ratio. Solvency ratio includes debt equity ratio, proprietary ratio
and leverage ratio. Activity ratio includes inventory turnover ratio, working
capital turnover ratio and fixed asset turnover ratio. Profitability ratio includes
gross profit ratio, operating profit ratio, net profit ratio, return on investment
and return on shareholders’ fund.

18
4.1 Liquidity Ratios
4.1.1 Current Ratio

Current ratio =

Table 4.1
Year Current asset Current liability Ratio
2015-16 45791.96 47953.97 0.95:1
2016-17 50935.03 50341.05 1.01:1
2017-18 67877.16 55661.41 1.22:1
2018-19 58990.98 61034.13 0.96:1
2019-20 58732.72 61660.91 0.95:1
(Source: compiled from annual report)

Generally current ratio of 2:1 is considered as standard. From table 4.1 it is

clear that it is the company is fails to attain the standard ratio. Current ratio
from 2015-16 to 2018-19 is fluctuating year by year.

Figure 4.1

Current Ratio
1.4

1.2

0.8

0.6

0.4

0.2

0
2005-16 2016-17 2017-18 2018-19 2019-20

19
4.1.2 Quick Ratio

Quick ratio =

Quick asset = current asset-inventory

Table 4.2
Year Quick asset Current liability Ratio
2015-16 25778.63 47953.97 0.54:1
2016-17 26131.21 50341.05 0.52:1
2017-18 39546.12 55661.41 0.71:1
2018-19 27334.88 61034.13 0.45:1
2019-20 27664 61660.91 0.45:1
(Source: compiled from annual report)

Generally Quick ratio of 1:1 is considered as satisfactory. From table 4.1 it is

clear that quick ratio is less than 1 which means financial position of the
company is unsound. So the company needs to increase the liquid asset to
attain standard ratio
Figure 4.2

Quick Ratio
0.8

0.7

0.6

0.5

0.4

0.3

0.2

0.1

0
2015-16 2016-17 2017-18 2018-19 2019-20

20
4.1.3 Super Quick Ratio

Super quick ratio =

Super quick asset = cash + short term investment

Table 4.3
Year Super Quick asset Current liability Ratio
2015-2016 10849.89 47953.97 0.23:1
2016-2017 10594.18 50341.05 0.21:1
2017-2018 22846.82 55661.41 0.41:1
2018-2019 5866.23 61034.13 0.09:1
2019-2020 11486.59 61660.91 0.19:1
(Source: compiled from annual report)

Generally super quick ratio of 0.5:1 is considered as ideal. From table 4.3 it is
clear that company is not met the ideal ratio in any of the years from 2015-16
to 2019-20. The Company does not keep much of super quick asset to pay off
its super quick liabilities
Figure 4.3

Super Quick Ratio

0.45
0.4
0.35
0.3
0.25
0.2
0.15
0.1
0.05
0
2015-16 2016-17 2017-18 2018-19 2019-20

21
4.2 Leverage Ratios
4.2.1 Debt Equity Ratio

Debt equity Ratio =

Table 4.4
Year Debt Equity Ratio
2015-16 80594.9 41457.55 1.94
2016-17 82350.37 35544.31 2.32
2017-18 88674.08 58595.60 1.51
2018-19 91144.81 66650.08 1.37
2019-20 113289.95 71301.30 1.58
(Source: compiled from annual report)

Generally debt equity ratio of 1:1 is considered standard. From the table 4.4 it
is clear that company is above standard shows that company tends to use more
borrowed fund than owners fund.

Figure 4.4

Debt Equity Ratio

2.5

1.5

0.5

0
2015-16 2016-17 2017-18 2018-19 2019-20

22
4.2.2 Proprietary Ratio

Proprietary ratio=

Table 4.5
Year Shareholders fund Total asset ratio
2015-16 41457.55 177511.44 0.23:1
2016-17 35544.31 173333.24 0.20:1
2017-18 58595.60 209757.94 0.28:1
2018-19 66650.08 233582.39 0.29:1
2019-20 71301.30 250419.45 0.28:1
(Source: compiled from annual report)

Generally proprietary ratio of 0.5:1 or above (or 50% or more) is considered as

ideal. A lower ratio indicates that the firm is highly dependent on creditors for
its working capital. Therefore lower proprietary ratio indicate unsound
financial position

Figure 4.5

Proprietary Ratio
0.35

0.3

0.25

0.2

0.15

0.1

0.05

0
2015-16 2016-17 2017-18 2018-19 2019-20

23
4.2.3 Solvency ratio

Solvency ratio =

Table 4.6
Year Total asset Total debt Ratio
2015-16 177511.44 80594.9 2.20
2016-17 173333.24 82350.37 2.10
2017-18 209757.94 88674.08 2.36
2018-19 233582.39 91144.81 2.56
2019-20 250419.45 113289.95 2.21
(Source: compiled from annual report)

Generally, solvency ratio of 1:1 is considered as ideal.it is clear that leverage

ratio is above standard this means higher degree of solvency. That indicate
company is solvent because assets are sufficiently more than liability of
company.

Figure 4.6

Solvency Ratio
3

2.5

1.5

0.5

0
2015-16 2016-17 2017-18 2018-19 2019-20

24
4 .3 Activity Ratios
4.3.1 Stock Turnover Ratio

Stock turnover ratio =

or
=net sales/inventory
Table 4.7
Year. Net sales Inventory Ratio
2015-16 106339.92 20013.33 5.31
2016-17 24803.82 24803.82 4.53
2017-18 28331.04 28331.04 4.66
2018-19 31656.10 31656.10 4.98
2018-20 31068.72 31068.72 4.50
(Source: compiled from annual report)

Generally stock turnover ratio of 8 times is considered as ideal. Table 4.7

shows that stock turnover ratio is lower than the standard in every year. Which
means companies inventory management or inventory policy is not better.

Figure 4.7

Inventory turn over ratio

5.4

5.2

4.8

4.6

4.4

4.2

4
2015-16 2016-17 2017-18 2018-19 2019-20

25
4.3.2 Working Capital Turnover Ratio

Working capital turnover ratio =

Working capital = current asset-current liability

Table 4.8
Year Net sales Working capital Ratio
2015-16 106339.92 -2162.01 -49.18
2016-17 112299.42 593.98 189.06
2017-18 132155.75 12215.75 10.81
2018-19 157668.78 -2043.15 -77.16
2019-20 139816.65 -2928.19 -47.74
(Source: compiled from annual report)

Generally, a working capital turnover ratio is 7 or 8 times is considered as

ideal. From table 4.8 it is clear that working capital turnover ratio shows a
negative sign. Which means it shows negative figures in each year expect
2016-17 and 2017-18. It indicates under trading and working capital is not
utilized in generating sales.

Figure 4.8

Working Capital Turn Over Ratio

250

200

150

100

50

0
2015-16 2016-17 2017-18 2018-19 2019-20
-50

-100

26
4.3.3 Fixed Asset Turnover Ratio

Fixed asset turnover ratio =

Table 4.9
Year Net sales Fixed asset Ratio
2015-16 106339.92 104128.29 1.02
2016-17 112299.42 104295.95 1.08
2017-18 132156.75 108619.85 1.21
2018-19 157668.78 139086.50 1.13
2019-20 139816.65 149992.96 0.93
(Source: compiled from annual report)

Generally Fixed Asset turnover ratio of 4 times is considered as satisfactory.

From the table 4.9 it is clear that fixed asset turnover ratio is below standard.

Figure 4.9

Fixed Asset Turn Over Ratio

1.4

1.2

0.8

0.6

0.4

0.2

0
2015-16 2016-17 2017-18 2018-19 2019-20

27
4.4 Profitability Ratios
4.4.1 Operating Profit Ratio

Operating profit ratio=

Table 4.10
Year Operating profit Net sales Ratio
2015-16 7968.33 106339.92 7.49
2016-17 17007.82 112299.42 15.14
2017-18 21890.53 132155.75 16.56
2018-19 29383.34 157668.78 18.64
2019-20 17463.06 139816.65 12.49
(Source: compiled from annual report)

Generally Standard form of operating profit ratio is 15 %. The operating profit

ratio is showing an increasing trend till the year 2018-19, then it is showing a
decreasing trend. However the operating profit ratio of the firm is reaching
above the ideal ratio for the year’s 2017-1. High operating profit ratio indicates
profits generated from operations are better compared with the total revenue
generated from sales of the company.
Figure 4.10

Operating Profit Ratio

20
18
16
14
12
10
8
6
4
2
0
2015-16 2016-17 2017-18 2018-19 2019-20

28
4.4.2 Net profit ratio

Net profit ratio =

Table 4.11
Year Net profit Net sales Ratio
2015-16 - - -
2016-17 - - -
2017-18 13260.23 132155.75 10.03
2018-19 9993.63 157668.78 6.34
2019-20 1368.57 139816.65 0.97
(Source: compiled from annual report)

Generally Ideal form of net profit ratio is 10%. From table 4.11 shows that the
company only meet standard ratio at 2017-18.which means in other years
company is underpricing. Also shows lower profitability and lower return to
the shareholders of the company.net profit ratio from 2018-19 is decreasing
year by year.

Figure 4.11

Net Profit Ratio

12

10

0
2015-16 2016-17 2017-18 2018-19 2019-20

29
4.4.3 Return on investment

Return on investment =

Capital employed = fixed asset + current asset – current liability

Table 4.12
Year PBIT Capital employed Ratio
2015-16 6126.52 101966.28 6
2016-17 5356.93 104889.93 5.10
2017-18 6638.25 120835.6 5.49
2018-19 16227.25 137043.35 11.84
2019-20 6610.98 147064.77 4.49
(Source: compiled from annual report)

Generally, return on investment of 15% is considered as standard. The figure

shows that firm is not having sufficient return on capital employed. it shows
that there is inefficient use of capital employed.

Figure 4.12

Return On Investment
14

12

10

0
2015-16 2016-17 2017-18 2018-19 2019-20

30
4.4.4 Return on Shareholders Fund

Return on shareholders fund =

Table 4.13
Year Net profit after Shareholders fund Ratio
tax
2015-16 4900.95 41457.55 11.82
2016-17 3444.55 35544.31 9.96
2017-18 4169.55 58595.60 7.11
2018-19 10533.19 66650.08 15.80
2019-20 6743.80 71301.30 9.45
(Source: compiled from annual report)

Generally ideal form of return on shareholders’ fund is 15%. From table 4.13 it
is clear that company’s return on shareholders fund in all the years is below the
standard ratio except in the year 2018-19.it shows that return on shareholders
fund is not satisfactory.

Figure 4.13

Return On Shareholders Fund

18
16
14
12
10
8
6
4
2
0
2015-16 2016-17 2017-18 2018-19 2019-20

31
5.1 Findings

● Current ratio is below standard and fluctuating year by year.

● Quick ratio is also below standard hence the firm will face difficulties in pay
off its liabilities in correct time
● Super quick ratio is also below standard so short term liquidity position very
poor
● Debt equity ratio is above the standard, it indicate that the extent to which
company depends on its outsiders for its existence.
● Proprietary ratio is below standard.
● Solvency ratio shows this company is strong because assets are sufficiently
more than liabilities.
● Stock turnover ratio is below standard hence it indicates the company’s stock
cannot converted in to cash very quickly
● Working capital turnover ratio is fluctuating and it indicates that working
capital is not effectively utilized in generating sales.
● Fixed asset turnover ratio is below standard which means worse utilization of
fixed asset in generating sales.
● Operating profit ratio shows better operational efficiency of the company.
● Net profit ratio shows decreasing trend means decreasing profitability.
● Return on investment is below the standard that means there is inefficient use
of capital employed.
● Return on shareholders fund is not satisfactory.

5.2 Suggestions

● It will be better if company uses its current assets effectively to improve

liquidity ratio and liquidity position.
● It is advisable to increase quick assets to maintain a standard ratio.
● Company must try to use working capital effectively for generating sales.

32
● Company has to increase net sales for increasing profitability of the entity
and higher profitability will attract shareholders.
●they should give more importance while they are investing money in different
securities.
5.3 conclusions

The study mainly concentrates on the analysis of financial performance

and soundness of the firm. The study is conducted to analyses the
liquidity solvency and profitability of the firm. From the study of
financial performance it can be concluded that Tata steel ltd has
satisfactory position in its operating profit but the firm needs to improve
its liquidity and solvency. If the firm continues to perform with more
efficiency and determination it can achieve greater success in near future.

33
 CHAPTER V

FINDINGS, SUGGESTIONS AND

CONCLUSIONS
5.1 Findings

● Current ratio is below standard and fluctuating year by year.

● Quick ratio is also below standard hence the firm will face difficulties in pay
off its liabilities in correct time
● Super quick ratio is also below standard so short term liquidity position very
poor
● Debt equity ratio is above the standard, it indicate that the extent to which
company depends on its outsiders for its existence.
● Proprietary ratio is below standard.
● Solvency ratio shows this company is strong because assets are sufficiently
more than liabilities.
● Stock turnover ratio is below standard hence it indicates the company’s stock
cannot converted in to cash very quickly
● Working capital turnover ratio is fluctuating and it indicates that working
capital is not effectively utilized in generating sales.
● Fixed asset turnover ratio is below standard which means worse utilization of
fixed asset in generating sales.
● Operating profit ratio shows better operational efficiency of the company.
● Net profit ratio shows decreasing trend means decreasing profitability.
● Return on investment is below the standard that means there is inefficient use
of capital employed.
● Return on shareholders fund is not satisfactory.

5.2 Suggestions

● It will be better if company uses its current assets effectively to improve

liquidity ratio and liquidity position.
● It is advisable to increase quick assets to maintain a standard ratio.
● Company must try to use working capital effectively for generating sales.

32
● Company has to increase net sales for increasing profitability of the entity
and higher profitability will attract shareholders.
●they should give more importance while they are investing money in different
securities.
5.3 conclusions

The study mainly concentrates on the analysis of financial performance

and soundness of the firm. The study is conducted to analyses the
liquidity solvency and profitability of the firm. From the study of
financial performance it can be concluded that Tata steel ltd has
satisfactory position in its operating profit but the firm needs to improve
its liquidity and solvency. If the firm continues to perform with more
efficiency and determination it can achieve greater success in near future.

33
BIBLIOGRAPHY
Books:
 VINOD, A. (2019). ACCOUNTING FOR MANAGEMENT (9th ed.,
pp.47-136). CALICUT: CALICUT UNIVERSITY.
 Jain, S. (2008). COST AND MANAGEMENT ACCOUNTING.
Ludhina: kalyani Publishers.
Journals:

 Lata, S., & Anand, D. (2017). In International Conference on Recent

Innovation in Science, Agricultural, Engineering and Management
,Punjab.
 A Study on Financial Analysis of Maruti Suzuki India Limited
Company.(2017). IOSR Journal of Business and Management, 19(7), 93-
101.
 Khan, I. (2016). Britannia analysis of financial performance. Retrieved
fromhttps://www.slideshare.net/ImranKhan994/britannia-analysis-of-
financial- performance

 Jayawardhana, A. (2016). Financial Performance Analysis of Adidas AG.

European Journal of Business And Management, 8(11).
 Subramanian,M(2016). A study on Financial Performance Analysis of
Force Motors Limited. International Journal For innovative Research In
Science And Technology
 Krishna M &Vidhya R. (2015),”A study on liquidity Analysis of Indian
Automobile industry,Asian Research Journal of business
Management,(2),pp.24- 30
 Anu.B (2015),”A study on Capital structure of selected automobile
industries in India,” EPRA International journal of economic and Business
review,3(5),pp.145- 150
 Ketal(2014),”A study to forecast the future trends of automobile industry,”
IOSR journal of business and Management,16(6),pp.83-89
 Anant Lodha (2014). ITC Financial Report. Retrieved
 fromhttps://www.slideshare.net/anantlodha/itc-financial-report

 Rapheal ,Nisha(2013),”An overview of the financial performance of

Indian tire industry-comparison among leading tire companies,”
Innovative journal of Business and Management
Websites:

 www.moneycontrol.com

 www.tatasteel.com

 www.indiasteelexpo.in

 www.wikipedia.com
APPENDIX
This data can be easily copy pasted into a Microsoft Excel sheet PRINT

Tata Steel Previous Years »

Standalone Profit & Loss account ------------------- in Rs. Cr. -------------------
Mar 20 Mar 19 Mar 18 Mar 17 Mar 16

12 mths 12 mths 12 mths 12 mths 12 mths

INCOME
Revenue From Operations [Gross] 58,815.57 68,923.36 59,453.23 52,564.93 42,290.64
Less: Excise/Sevice Tax/Other Levies 0.00 0.21 902.55 5,267.94 4,475.95
Revenue From Operations [Net] 58,815.57 68,923.15 58,550.68 47,296.99 37,814.69
Other Operating Revenues 1,620.40 1,687.56 1,066.14 696.03 395.65
Total Operating Revenues 60,435.97 70,610.71 59,616.82 47,993.02 38,210.34
Other Income 404.12 2,405.08 763.66 414.46 3,890.70
Total Revenue 60,840.09 73,015.79 60,380.48 48,407.48 42,101.04
EXPENSES
Cost Of Materials Consumed 17,407.03 19,840.29 16,877.63 12,496.78 9,700.01
Purchase Of Stock-In Trade 1,563.10 1,807.85 647.21 881.18 991.54
Changes In Inventories Of FG,WIP And
-564.40 -554.33 545.36 -1,329.65 142.97
Stock-In Trade
Employee Benefit Expenses 5,036.62 5,131.06 4,828.85 4,605.13 4,324.90
Finance Costs 3,031.01 2,823.58 2,810.62 2,688.55 1,460.27
Depreciation And Amortisation Expenses 3,920.12 3,802.96 3,727.46 3,541.55 1,933.11
Other Expenses 23,803.18 24,622.60 21,275.47 19,681.15 16,438.06
Less: Amounts Transfer To Capital
1,671.13 799.70 336.66 217.52 598.89
Accounts
Total Expenses 52,525.53 56,674.31 50,375.94 42,347.17 34,391.97
Mar 20 Mar 19 Mar 18 Mar 17 Mar 16

12 mths 12 mths 12 mths 12 mths 12 mths

Profit/Loss Before Exceptional,

8,314.56 16,341.48 10,004.54 6,060.31 7,709.07
ExtraOrdinary Items And Tax
Exceptional Items -1,703.58 -114.23 -3,366.29 -703.38 -1,582.55
Profit/Loss Before Tax 6,610.98 16,227.25 6,638.25 5,356.93 6,126.52
Tax Expenses-Continued Operations
Current Tax 1,787.95 6,297.11 1,586.78 1,400.54 1,433.06
Less: MAT Credit Entitlement 0.00 0.00 0.00 0.00 152.17
Deferred Tax -1,920.77 -603.05 881.92 511.84 -55.32
Total Tax Expenses -132.82 5,694.06 2,468.70 1,912.38 1,225.57
Profit/Loss After Tax And Before
6,743.80 10,533.19 4,169.55 3,444.55 4,900.95
ExtraOrdinary Items
Profit/Loss From Continuing Operations 6,743.80 10,533.19 4,169.55 3,444.55 4,900.95
Profit/Loss For The Period 6,743.80 10,533.19 4,169.55 3,444.55 4,900.95
Mar 20 Mar 19 Mar 18 Mar 17 Mar 16

12 mths 12 mths 12 mths 12 mths 12 mths

OTHER ADDITIONAL INFORMATION

EARNINGS PER SHARE
Basic EPS (Rs.) 57.11 90.41 38.57 31.74 48.67
Diluted EPS (Rs.) 57.11 90.40 38.56 31.74 48.67
VALUE OF IMPORTED AND INDIGENIOUS RAW
MATERIALS
Imported Raw Materials 0.00 0.00 0.00 0.00 7,194.82
Indigenous Raw Materials 0.00 0.00 0.00 0.00 5,477.23
STORES, SPARES AND LOOSE TOOLS
Imported Stores And Spares 0.00 0.00 0.00 0.00 661.94
Indigenous Stores And Spares 0.00 0.00 0.00 0.00 3,685.78
DIVIDEND AND DIVIDEND PERCENTAGE
Equity Share Dividend 1,489.67 1,145.92 1,237.35 1,043.07 776.97
Tax On Dividend 297.71 224.86 95.71 55.65 149.30
Equity Dividend Rate (%) 100.00 130.00 100.00 100.00 80.00

Source : Dion Global Solutions Limited

This data can be easily copy pasted into a Microsoft Excel sheet PRINT

Tata Steel Previous Years »

Consolidated Profit & Loss account ------------------- in Rs. Cr. -------------------
Mar '20 Mar '19 Mar '18 Mar '17 Mar '16

12 mths 12 mths 12 mths 12 mths 12 mths

Income
Sales Turnover 139,816.65 157,668.99 133,016.37 117,419.94 106,339.92
Excise Duty 0.00 0.21 860.62 5,120.52 0.00
Net Sales 139,816.65 157,668.78 132,155.75 112,299.42 106,339.92
Other Income 1,386.45 784.73 7,786.97 -11,210.38 3,507.65
Stock Adjustments 565.24 96.71 43.68 4,538.13 -1,925.19
Total Income 141,768.34 158,550.22 139,986.40 105,627.17 107,922.38
Expenditure
Raw Materials 69,665.67 72,037.19 60,866.26 51,724.10 46,984.18
Power & Fuel Cost 5,319.92 5,316.56 5,384.31 5,220.83 4,993.89
Employee Cost 18,533.58 18,758.87 17,606.19 17,252.22 17,587.63
Miscellaneous Expenses 29,399.66 32,269.53 26,452.14 25,632.58 26,880.70
Total Expenses 122,918.83 128,382.15 110,308.90 99,829.73 96,446.40
Mar '20 Mar '19 Mar '18 Mar '17 Mar '16

12 mths 12 mths 12 mths 12 mths 12 mths

Operating Profit 17,463.06 29,383.34 21,890.53 17,007.82 7,968.33

PBDIT 18,849.51 30,168.07 29,677.50 5,797.44 11,475.98
Interest 7,533.46 7,660.10 5,501.79 5,072.20 4,221.41
PBDT 11,316.05 22,507.97 24,175.71 725.24 7,254.57
Depreciation 8,440.73 7,341.83 5,961.66 5,672.88 5,306.35
Profit Before Tax 2,875.32 15,166.14 18,214.05 -4,947.64 1,948.22
PBT (Post Extra-ord Items) 2,875.32 15,166.14 18,214.05 -4,947.64 1,948.22
Tax -2,568.41 6,718.43 3,405.39 2,778.01 689.96
Reported Net Profit 1,368.57 9,993.63 13,260.23 -4,248.45 -272.36
Share Of P/L Of Associates -187.97 -224.70 -174.10 -7.65 110.42
Net P/L After Minority Interest & Share
6,088.74 9,308.26 8,105.24 4,019.85 -1,947.59
Of Associates
Total Value Addition 53,253.16 56,344.96 49,442.64 48,105.63 49,462.22
Equity Dividend 1,488.13 1,144.76 1,236.18 1,043.07 776.97
Corporate Dividend Tax 297.40 224.61 95.47 55.65 149.30
Per share data (annualised)
Shares in issue (lakhs) 12,029.45 12,029.44 12,029.51 9,700.47 9,700.47
Earning Per Share (Rs) 11.38 83.08 110.23 -43.80 -2.81
Book Value (Rs) 592.72 554.06 487.10 366.42 427.38

Source : Dion Global Solutions Limited

This data can be easily copy pasted into a Microsoft Excel sheet PRINT

Tata Steel Previous Years »

Consolidated Balance Sheet ------------------- in Rs. Cr. -------------------
Mar 20 Mar 19 Mar 18 Mar 17 Mar 16

12 mths 12 mths 12 mths 12 mths 12 mths

EQUITIES AND LIABILITIES

SHAREHOLDER'S FUNDS
Equity Share Capital 1,144.95 1,144.94 1,144.95 970.24 970.24
Total Share Capital 1,144.95 1,144.94 1,144.95 970.24 970.24
Reserves and Surplus 70,156.35 65,505.14 57,450.65 34,574.07 40,487.31
Total Reserves and Surplus 70,156.35 65,505.14 57,450.65 34,574.07 40,487.31
Total Shareholders Funds 71,301.30 66,650.08 58,595.60 35,544.31 41,457.55
Equity Share Application Money 0.00 0.00 0.02 0.01 0.00
Hybrid/Debt/Other Securities 2,275.00 2,275.00 2,275.00 2,275.00 2,275.00
Minority Interest 2,586.60 2,364.46 936.52 1,601.70 780.94
NON-CURRENT LIABILITIES
Long Term Borrowings 94,104.97 80,342.73 72,789.10 64,022.27 64,872.78
Deferred Tax Liabilities [Net] 9,261.38 12,459.89 10,569.88 10,030.08 9,420.89
Other Long Term Liabilities 4,994.22 4,409.89 4,592.17 5,239.13 6,309.83
Long Term Provisions 4,235.07 4,046.21 4,338.24 4,279.69 4,440.48
Total Non-Current Liabilities 112,595.64 101,258.72 92,289.39 83,571.17 85,043.98
CURRENT LIABILITIES
Short Term Borrowings 19,184.48 10,802.08 15,884.98 18,328.10 15,722.12
Trade Payables 21,380.85 21,716.96 20,413.81 18,574.46 18,556.70
Other Current Liabilities 19,431.91 27,266.37 18,092.98 12,451.11 12,153.29
Short Term Provisions 1,663.67 1,248.72 1,269.64 987.38 1,521.86
Total Current Liabilities 61,660.91 61,034.13 55,661.41 50,341.05 47,953.97
Total Capital And Liabilities 250,419.45 233,582.39 209,757.94 173,333.24 177,511.44
ASSETS
NON-CURRENT ASSETS
Tangible Assets 128,053.76 118,450.97 90,322.78 86,880.59 66,569.24
Intangible Assets 2,442.37 1,994.32 1,682.66 1,631.23 1,562.96
Capital Work-In-Progress 18,862.06 17,956.51 16,159.80 15,514.37 35,793.32
Intangible Assets Under Development 634.77 684.70 454.61 269.76 202.77
Fixed Assets 149,992.96 139,086.50 108,619.85 104,295.95 104,128.29
Non-Current Investments 2,853.31 3,213.31 2,990.50 6,783.99 6,050.16
Deferred Tax Assets [Net] 1,270.33 808.95 1,035.80 885.87 627.45
Long Term Loans And Advances 488.71 613.34 717.34 373.06 412.23
Other Non-Current Assets 33,026.89 26,872.69 24,417.84 6,564.61 16,433.79
Total Non-Current Assets 191,686.73 174,591.41 141,880.78 122,398.21 131,719.48
CURRENT ASSETS
Current Investments 3,431.87 2,524.86 14,908.97 5,673.13 4,663.55
Inventories 31,068.72 31,656.10 28,331.04 24,803.82 20,013.33
Trade Receivables 7,884.91 11,811.00 12,415.52 11,586.82 12,066.22
Cash And Cash Equivalents 8,054.72 3,341.37 7,937.85 4,921.05 6,186.34
Short Term Loans And Advances 215.68 239.70 256.48 224.50 207.42
OtherCurrentAssets 8,076.82 9,417.95 4,027.30 3,725.71 2,655.10
Total Current Assets 58,732.72 58,990.98 67,877.16 50,935.03 45,791.96
Total Assets 250,419.45 233,582.39 209,757.94 173,333.24 177,511.44
OTHER ADDITIONAL INFORMATION
CONTINGENT LIABILITIES, COMMITMENTS
Contingent Liabilities 26,907.88 26,941.26 22,182.67 19,082.07 17,730.24
BONUS DETAILS
Bonus Equity Share Capital 252.97 252.97 252.97 252.97 252.97
NON-CURRENT INVESTMENTS
Non-Current Investments Quoted Market
205.02 454.53 753.87 4,735.27 3,989.50
Value
Non-Current Investments Unquoted
479.75 835.83 15,364.38 6,127.91 0.00
Book Value
CURRENT INVESTMENTS
Current Investments Unquoted Book
3,431.87 2,524.86 0.00 0.00 4,663.55
Value

Source : Dion Global Solutions Limited